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Tue, Aug 23rd - 12:05AM

Buy Your Car Here, also Make Payments Here

Though no one can go back and make a brand new start, anyone can start from now and make a brand new ending. - Carl Bard

So for all those who feel dejected because they are not able to buy a car, there is something to cheer you.

If you are not able to buy a car because of your bad credit score, then you can go to a BHPH (Buy Here Pay Here) dealer. A BHPH dealer will help you buy a used car, with high mileage. The dealer will not only sell you a car but also finance you. So, you need not go to a bank or a financer. It is simple, you buy car and pay for your car at the very same place.

Many car dealers have BHPH lots as an alternative financing option. A BHPH dealer usually has sign boards which convey the meaning- "We Finance Anyone".

BHPH dealers sell cars to individuals with bad credit score, so it's obvious that high risk is involved. And for the same reason, you will have to pay higher interest. They may charge more than 25%. But they cannot charge exorbitant rates against the State Law.

Most dealers won't ask for your credit score, they will be more interested in your ability to make payments. They will also need you to make a down payment for the car, so in future if you are not able to make payments, they won't suffer a major loss. But keep in mind that not making payments is not an option because if you don't, the dealer will immediately repossess your car.

BUY HERE PAY HERE has the following major characteristics.

>> Generally the dealers deal in USED cars only

>> The dealer won't require your credit history

>> You will be required to make a down payment

>> You will have to make payments to the car dealer only

>> Your dealer won't report your loan details to credit bureaus, so the loan will not show on your credit report

A BHPH dealer is different than the traditional dealers.

The financial part is often discussed at the end when it comes to traditional financing whereas it is exactly opposite with BHPH dealers. The BHPH dealer will understand your financial condition and show you the available cars within your budget.

So when you are at a BHPH dealer, you will have to make a choice from the given car options only. Whereas if you are at a traditional dealer you can choose whichever car you like and then go on to the financial aspect.

What are the requirements for BHPH financing?*

If you want to avail a car loan from the dealer, you should-

>> Be a licensed driver

>> Have a stable job

>> Have proof of residence

>> Fulfill the minimum monthly income criteria

>> Pay down payment along with any Title Fee and other fees

>> Have no repossession within the last 1 year unless included in a bankruptcy

Which documents are required?*

>> Drivers License, ID Card

>> Social Security Number(SSN)

>> Proof of employment and income (copy of recent paycheck or bank statement)

>> Proof of residence (copy of lease agreement or mortgage papers)

>> Current Phone Bill or any other utility bills

>> Proof of Auto Insurance

>> Financial Information (bank info)

>> Contact No.

>> References

*This is not an exhaustive list and the dealer may ask for more than this, which you will have to provide.

Payment Options

The payments are to be made weekly or bi-weekly. It all depends on your contract.

The dealer may ask you to physically bring in cash every week. So it is important that you have the dealer near you. Some dealers may even allow you to make online payments or via phone. Some may ask for an automatic withdrawal if you have a bank account. Negotiate even for the payment methods so that it becomes convenient for you.

Also the dealers follow a zero tolerance policy so make sure that you don't make any late payments.

Every coin has two sides - YOU need to be careful

When you set out to buy car and decide for a BHPH dealer, ensure that you understand every aspect.

There are few things that you need to give attention while buying a car.

1> The Quality of Car

It is often considered that the cars that BHPH dealers have in their inventory are the rejected cars (rejected by other traditional dealers). So you should be smart and ask for the history of the car. It is essential that you have an idea of the car so that you don't buy a lemon.

2> Down Payments

If you are in financial trouble, then making a down payment is also very difficult. So at this point of time, a BHPH dealer won't be able to solve your problem. Most of us go for BHPH only when other traditional sources of finance have been exhausted. But you still have the option of going online and availing finance.

If you search, you will get good options of financing your car.

Nonetheless, BHPH is the last resort. If you cannot avail loan anywhere, you can go for this option. So exhaust all other options and if you don't get a positive response from anywhere, then go for BHPH.

All the best!!!

Rapid Car Loans offers bad credit car loans for people with bad credit, poor credit or no credit for new or used vehicles with flexible terms such as no money down and no prepayment penalty through the network of subprime auto financing lenders. Applying for car loans online eliminates the applications or processing fees that are normally associated with getting a car loan through a bank or automobile dealer.


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Tue, Aug 2nd - 11:27PM

How to Get Approved for Used Car Refinancing?

Lots of people are unaware about the process of refinancing auto loans. Car refinancing can be of great deal in saving a huge amount of money. Refinancing can be done even for used car loans. This is not restricted only to new cars and vehicles. Are you going through a series of economic troubles and find it very difficult to repay the loan amount? Have you started to defaulting monthly payments continually in the past? This is the right time to think about refinancing used car loan as your savior. What are you waiting for? Think and act. Go ahead and explore your opportunities.

There are several reasons attributed on why the borrowers might want to refinance their used car loans. Some of the commonly attributed reasons are

1 Not able to repay the existing monthly payments
2. The monthly payments can be huge and leave a hole in your pocket every month
3. The terms and conditions of the existing used car loan are not flexible
4. The interest rates on the existing loan are very high
5. The borrower might want to save some money in the long run and divert that funds for other expenditure

The reasons are many and it will go on. However, the above said reasons are some of the commonly happening ones. It is clearly understood that refinancing used car loans is purely to save money in the long run. It will help you to get relieved from the financial burden and clutches.

It is important to understand that when the borrowers opt for refinancing at earlier stages, they can certainly save more money than expected. One factor to consider while applying for automobile refinancing the used car loan is that make sure the value of the car is higher than the loan amount quoted. Understand that the lenders have all the rights to seize the car if the loan amount is not repaid properly. One more important factor is that having a bad credit will make the task of refinancing completely impossible. Take some time to pay off the monthly payments promptly with the existing lender and gain some credibility. Approach another lender after building up the credit rating.

Whom should I approach?

There are several lenders and banks ready to offer these kinds of car loans. Even the existing lender will be in a better position to help the borrowers in getting a refinance of used car loans. There are several websites available presenting complete information about the lenders offering these kinds of loans. The internet can be of great help in choosing the lenders and the information present will help the borrowers to make wise decisions in picking up the lenders. Comparisons and reviews will educate the borrowers on several aspects.


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Tue, Aug 2nd - 11:26PM

Choosing between Dealership Financing and Private Party Auto Loans

Every individual would like to drive his/her own car. Buying a car might be a lifetime goal for some and for some might be a passion. However, the practicality is that not everyone can fund the purchase of the dream vehicle. The recent economic turmoil has added fuel to the fire and it has left many people to be financially bankrupted. The recent developments prove to be a good sign for recovery and the automobile industry has started picking up its sales. Most of the people would like to take a loan to buy their dream car. A lot of people cannot afford a new car and so think for opting for an economical used car. Choosing between buying a used car through dealership financing and private party car loans needs a lot of ground work research and analysis. Lets compare the deal here.

Advantages of Private Party Car Loans:

Private party car loans can be obtained at a faster rate when compared with others. A normal underwriting process will take place for a standard vehicle loan. The loan will be approved within hours of time with less amount of paper work.

Private party auto loan lenders offer flexible terms for the loans and you will not have a tough time to negotiate the terms. You can get a highly customized program depending upon your financial requirements.

The loan terms can be extended if required at the end for a higher rate of interest.

Private party car lenders do not demand a huge lump sum amount which has to be paid as upfront fee.

There no specific requirement needed to qualify your car while applying for individual seller car loan. Just a few document and you can get a private party car loan.

Disadvantages of dealership car financing:

Credit score scams: You would have possibly come up with a fair amount of credit scores after being toiled and moiled. This score could be a better score to get the deal approved at the normal rates. However, you will often envisaging a situation where a senior officer walks to you saying that according to their calculation, the credit score is too low for the loan to be approved. They would force you to take the loan at a higher rate of interest which is considerable only for the valuable customers.

Dealership financing is just yet another product that is sold by the dealers. They always want to make profit out of their business and do not fell scapegoats for their greed. Do not accept any deals that has got less than 2% APR as this is highly impossible except a few occasions.

The auto dealership financing can be looked as a one stop shop for all your needs. However, you must remember the fact that you cannot customize your needs and have to shell out extra money for unnecessary expenditure. The buyer must decide the kind of financing depending on the pros and cons of the lenders and loans.


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